From an economic standpoint, government intervention may be justified
A. If the market mechanism fails to achieve the optimal mix of output.
B. Because the government can increase the level of market power of private businesses.
C. Because the government can encourage the production of private goods.
D. When the private sector is larger than public sector.
Answer: A
Economics
You might also like to view...
The area under the market demand curve shows the _____________ benefit to _____________.
a. total; consumers b. marginal; consumers c. total; producers d. marginal; producers e. equilibrium; consumers
Economics
Underproduction of good ________ create a deadweight loss and overproduction of a good ________ create a deadweight loss
A) will; will B) will; will not C) will not; will D) will not; will not
Economics